QUESTION In the Republic of Lantharia, the state-owned telephone company enjoys a monopoly. The government of Lantharia Republic wants to maximize the operating efficiency of this company by privatizing it. Which of the following is most likely to help the government succeed in this endeavor? A. Imposing high corporate taxes on the company immediately after […]
QUESTION Which of the following statements is true about the late influential political scientist Samuel Huntington’s vision of the new world? A. Samuel Huntington maintained that as societies continue modernizing they will also become more Western. B. Samuel Huntington theorized that modernization in non-Western societies can result in a retreat toward the traditional. C. Samuel […]
QUESTION Which of the following statements is true about the global changes in political and economic systems? A. The West lost the Cold War, and East European communist ideology is now widespread. B. A lack of deregulation has been the cause for the global financial crisis of 2008-2009, and the recession that followed. C. It […]
QUESTION Which of the following is most likely to prove detrimental to democracy and international business? A. Emergence of increasingly prosperous middle and working classes B. Development of new information and communication technologies C. Dominance of a universal civilization which leads to the establishment of a more harmonious world D. Transformation of nations from centrally […]
QUESTION Many commentators have blamed the problems that led to global financial crisis of 2008-2009, and the recession that followed on: A. a lack of free markets. B. a lack of regulation. C. the political ideologies followed in the Asian countries. D. a strong presence of command economies. E. a lack of privatization and liberalization. […]
QUESTION In Samuel Huntington’s thesis, global terrorism is a product of the: A. clash of value systems and ideology between civilizations. B. widespread acceptance of universal global civilization. C. declining liberal democratic ideals. D. differences in the factor endowments between countries. E. geographical differences between nations. ANSWER A In Huntington’s thesis, global terrorism is […]
QUESTION Which of the following is an implication of the global changes in political and economic systems for international business? A. The ideological conflict between collectivism and individualism is less in evidence today. B. Adoption of Western ideology is declining worldwide. C. The global tide has been running in favor of command economies and totalitarian […]
QUESTION The belief that geography can influence economic policy, and hence economic growth rates, goes back to: A. Adam Smith. B. Amartya Sen. C. Plato. D. Aristotle. E. Karl Marx. ANSWER A While a country’s political and economic systems are probably the big engine driving its rate of economic development, other factors are also […]
QUESTION Which of the following is most likely to be the consequence of economic progress? A. Adoption of communism B. Adoption of democracy C. Adoption of a command economy D. Adoption of a totalitarian government E. Restriction on individual freedom ANSWER B Although democracy may not always be the cause of initial economic progress, […]
QUESTION The influential Peruvian development economist Hernando de Soto has argued that much of the developing world will fail to reap the benefits of capitalism: A. until they adopt communism. B. until property rights are better defined and protected. C. if they adopt free market economies. D. until their governments monopolize all means of production […]
